Dogecoin (DOGE) is showing signs of exhaustion following its recent short-term rally, slipping to around $0.17. This level places it just below the 50-day moving average, a historically significant dynamic support and resistance level. The meme coin’s momentum appears to be fading, raising concerns about a potential price correction if bulls fail to reclaim this threshold.
Despite short-term weakness, DOGE maintains a slightly more favorable long-term outlook. On the weekly chart, the token is still holding above the 50-week EMA, offering a bit of technical support. However, since peaking in November, Dogecoin has remained stuck in a broader downtrend, marked by a pattern of lower highs and lower lows.
Attempts to rebound from the $0.14 region have met resistance, with the critical $0.18–$0.19 zone posing a major hurdle. Without a clear breakout above this range, upside potential remains capped. Compounding the issue is DOGE’s failure to generate sustained speculative interest or on-chain accumulation—factors that have benefited competitors like Shiba Inu (SHIB).
A declining trading volume further signals fading market enthusiasm, and the lack of any strong fundamental catalysts limits DOGE's upward momentum. The token also continues to trade below the 200-day moving average at $0.21, underscoring its current bearish posture.
Unless Dogecoin can reclaim key resistance levels and attract renewed buying interest, its price may remain under pressure, with a risk of another leg down. Traders are watching closely for signs of strength—or further weakness—as DOGE struggles to break free from its ongoing slump.
Comment 0